The HG10 records 1920-x-1080i video to its 40GB hard drive. The compact unit features a 10x lens, image stabilization, a 2.7-inch screen, Canon's "Intstant" auto-focus, and Canon's DIGIC DV II image processor. Like the HV20 before it, the HG10 also has a 24p Cinema Mode, which gives video recordings a film-like quality to them (film is captured at 24p).

Although the HG10 may not rival your standalone digital camera, it does handle still image capture as well, including snapping 3.1 megapixel photos to a miniSD card. More intriguing: It also allows you to capture 2.0 megapixel stills directly from your high-def video footage during playback.

The HG10 will be shipping in October, and should sell for $1,299 (around £640). UK pricing has yet to be announced.